Tax Credit For Home Buyers Nears End

If you want to use the first time home buyers tax credit you need to act fast. The deadline for the program is November 30th according to Realtors. While that may be months away, it may take that long to close on a house.

“Right now it is taking up to 3 months, depends on the financing package, but on some loans it has taken an additional 30 days longer,” tells Jay Butler, owner of Butler Realty.

Butler says the home buyer is not guaranteed $8,000. The tax credit is worth 10% of the home’s purchase price up to a maximum of $8,000.

“If you buy an $80,000 house you have $8,000 worth of tax credit. If you buy $40,000 house you will have $4,000,” explains Butler.

Butler says this is the best time to buy a house he has seen in 15 years due to the prices. Only first time home buyers are eligible for the program.